What Does Travel Insurance Cover?

You’ve spent months meticulously planning your vacation and prepared a flawless itinerary with stops along famous landmarks and picturesque locations. Unfortunately, all of that can vanish in a puff if something goes wrong and you don’t have travel insurance.

Peace of mind before, after and during your trip is essential for maximising enjoyment of any long-awaited vacation. Travel insurance can go a long way in helping you achieve that and can also protect you from unforeseen circumstances if something goes wrong. A travel insurance plan may cover a range of trip protections, like personal accident coverage, medical expenses and emergency medical evacuation, travel delays, flight cancellations and loss of baggage.

Accidental death and dismemberment

Also called Personal Accident coverage, as defined by the General Insurance Association (GIA), this category covers accidental injuries resulting in death or permanent total dismemberment. Note that general exclusions like pre-existing conditions, death by suicide, or war and civil commotion may apply. 

Baggage delay

If your baggage has been delayed, misdirected or temporarily misplaced by a carrier, you can make use of your policy to claim what will likely be cash benefits. For example, FWD travel insurance offers $150-$600 for every 6 hours of delay while Singlife offers $300-$2000 for baggage delays. Some insurers may only offer claims on a reimbursement basis, which means you need to have documented expenses, such as receipts, for expenses incurred as a result, such as  purchases of toiletries or clothing.

Baggage loss

Similar to baggage delay claims, this category provides cash benefits up to a certain amount if the carrier loses your baggage. Great Eastern insurance, for instance, covers up to $5000 for baggage loss.

Emergency medical evacuation and repatriation

Planning a trip to somewhere pristine and remote? If something goes wrong, there may be no medical facilities available that can treat you. That’s where emergency medical evacuation and repatriation coverage comes in. According to the GIA, this will reimburse any costs of transportation incurred if you should suffer a serious illness or injury overseas. 

Missed connections

Imagine signing up for a group tour of historic temples in Kyoto, Japan and being 6 hours late thanks to a delayed flight. In this scenario, you may be eligible for travel delay claims under the following conditions: if your flight was delayed due to strikes or other types of civil commotion, adverse weather conditions or the mechanical breakdown of your scheduled public mode of transport.  

Reinstatement of frequent traveller points

Frequent flyers enjoy multiple benefits, such as the accumulation of frequent flyer miles for discounts on flights, entertainment and retail options. If you’re a frequent flyer looking to travel soon, check for policies that reimburse you for loss of frequent flyer points. Singlife, for instance, offers full reimbursement for points lost due to cancellations of trips that arise from insured events.

Trip cancellation

Trip cancellation insurance is essential if you have to cancel your trip due to unforeseen circumstances, such as sickness or death of a family member. This coverage will reimburse you for prepaid costs made for travel purposes and only applies if you do not proceed with your trip—it does not apply if your trip is simply delayed.

Trip curtailment

What is a trip curtailment? This is when your trip abruptly comes to an end, due to what insurers term as a “named event”. Such events may include: 

• Sickness or death of your travelling companion or yourself.

• You, or your travelling companion dies during the trip.

• A catastrophic event, pandemic or outbreak occurs at your travel destination.

• Your flight is cancelled due to the destination airport being closed.

• Unexpected outbreak of riots or civil unrest at your travel destination.

• Insolvency of the airline, licensed tour operator or agent servicing your trip.

Trip delay

Similar to what we’ve covered for claims under missed connections, trip delay coverage can offer you protection in the event of adverse weather conditions, an airline strike or the mechanical breakdown of your scheduled public transport conveyance. Do note however, that earthquakes and volcanic eruptions may not be covered unless explicitly stated, as they are not considered adverse weather conditions for the purposes of travel insurance. 

Trip interruption

This category is virtually the same as trip curtailment. Any coverage for named events that lead to the interruption of your trip is policy-specific. Now, what if you booked your trip using airline miles you’re been accumulating for that very purpose? In that case, it is best to ask your airline directly about the possibility of reinstating your travel miles for your interrupted trip.

Also called optional add-on coverage, these benefits come with additional charges. They are a good way to fortify your insurance plan, so that you can create a more inclusive policy that works for you.

Cancel for any reason

Got a packed schedule that fluctuates from week to week? You might need this nifty add-on, which allows you to cancel your trip for any reason. Some providers like FWD and Singlife require purchase of their policy within 7 days from the date of the initial trip deposit for this add-on to take effect. FWD plans generally offer up to $6,000 in coverage for travel cancellations, and will cover up to 50% of your accommodation and travel expenses. Singlife offers similar benefits with one big difference; if your trip cancellation is due to pre-existing medical conditions—they will cover it under certain circumstances.

Rental car collision damage waiver

The unexpected breakdown or loss of your rental car due to theft can have devastating consequences for your wallet. Thankfully, this is covered by an add-on sometimes referred to as rental car insurance or rental car excess. This protects against charges issued by rental car companies for the damage or loss of the vehicle due to theft, by way of a policy-specific deductible sum. 

Pre-existing conditions

According to the GIA, medical expenses due to pre-existing conditions are often excluded from policy coverage. If you or your travel companion has chronic illnesses, do look out for specialised coverage designed for this purpose, like the PreX Travel Insurance Deluxe Plan offered by Income insurance. 

>>  Learn more: Find out more about the best travel insurance companies right now.

Quarantine accomodations

You’ve seen how quickly our highly connected world can change thanks to a pandemic. If you’re anxious about the possibility of your trip being affected due to COVID-19, or another pandemic, look out for plans that include quarantine accommodations. For example, MSIG travel policy holders may be entitled to overseas daily quarantine benefits, if they are quarantined due to contracting COVID-19 during their travels.

>>  Learn more: Upgrade your travel insurance with COVID-19 coverage.

Even the most robust and premium travel policies come with exclusions. Some scenarios that typically are not covered by travel insurance include:

• General exclusions: Every policy has an addendum where exceptions are noted. Common exclusions include any loss, damage or injury arising from consumption of alcohol or non-prescription drugs—as well as dangerous sports and leisure activities.

• Travelling against travel advisory issued by the government: From time to time, the Singapore government issues travel advisories to warn individuals planning a trip to places with known risks and security concerns. If you ignore the advisory and travel there anyway, your policy will be voided.

• Earthquakes, tsunamis and other natural disasters classified under “Acts of God”: Though some policies offer coverage for accidental death, permanent total disablement or medical expenses due to Acts of God, the GIA cautions that this varies from policy to policy. It’s possible for policies to have exclusions for Acts of God.

• Nuclear radiation: Generally speaking, travel policies do not cover nuclear risks. This extends to any loss, damage or illness you may experience due to radiation or nuclear contamination. 

• Medical tourism: Whether you’re going across the causeway to seek a second opinion or heading to Bangkok for dental work, medical tourism is typically not covered under travel insurance.

• Claims related to pregnancy: If you’re overseas and incur expenses arising from injuries, illnesses or complications due to childbirth, abortion or miscarriage—this may not be covered by your insurer. 

>>  Learn more: The best travel credit cards of 2025.

The cost of your policy is dictated by factors like your age, the length of your trip and your destination. The limits and type of your coverage also affects your policy’s price tag.

Types of coverage and limits

It can feel overwhelming when you’re confronted by the sheer number of travel insurance options. Determine the best plan for you by reviewing coverage details with our comparison tool and find out which plans offer the best protections for baggage loss, cancellations and medical expenses.

Single vs annual trip insurance

Single or annual policy? That depends on your trip. Cost-effective annual trip plans, also known as multi-trip plans, make the perfect choice for frequent travellers. That is, unless you’re planning on an extended holiday since most annual plans limit each trip to 30-90 days. If you’re planning on taking a long sabbatical by way of travelling the world, purchasing multiple single trip plans may be better for you. 

Individual vs family plans

Individual plans cover just one person, whereas family or group plans cover multiple individuals going on the same trip together. Group plans can cover family members, friends or even colleagues. Meanwhile, family plans only cover family members travelling together, with some even offering benefits such as waived premiums for children under a certain age. 

>>  Learn more: 10 tips for buying the right travel insurance policy.

Our travel insurance coverage needs differ from one another in small and big ways because we are all unique. So do review all policy terms carefully and go over coverage exclusions with a fine-toothed comb. Don’t forget to read reviews so you can find out what you can expect from the provider’s claims process and customer support. If something does go wrong and you need to make a claim, customer support will be invaluable in helping you navigate the claims process and obtain emergency assistance. 

Do take your time to read the fine print and contact your provider for any clarifications needed before making any claims.

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